EDITORIAL: Windstorm agency needs fixing now through shared risk

By Enterprise editorial staff

Published 1:10 am, Monday, November 5, 2012

Hurricane Sandy ravaged the East Coast, but it should serve as a wakeup call for Texas. Last week the state's insurance commissioner confirmed to lawmakers that the Texas Windstorm Insurance Association would have a hard time paying off claims if a storm like Sandy hit our Gulf coast.

That's unsettling, but it's not much of a surprise considering the agency's struggles following hurricanes Rita and Ike. When the Legislature begins its new session, it needs to fix the agency once and for all.

State Rep. Larry Taylor of Friendswood, cochairman of the oversight committee, pointed out the clear need for shared risk. A small charge on insurance policies off the coastal zone would help a lot. After all, coastal residents indirectly support claims for hailstorms and tornadoes in north Texas through their insurance payments.

The important thing is for lawmakers to do something while they still can. Waiting until after another major hurricane would be the worst possible option.